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Fed raises risk, compliance concerns over Goldman Sachs’ fintech unit, FT says

The Federal Reserve raised risk and compliance concerns over Goldman Sachs’ collaborations with financial technology firms leading a unit of the bank’s transaction banking business to cease signing on riskier fintech customers, the Financial Times’ Akila Quinio, Joshua Franklin and Colby Smith report, citing people with knowledge of the talks. The Fed raised issues including insufficient due diligence and monitoring processes when taking on high-risk non-bank clients.

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